Financial News for the Week Ending November 23rd
US stocks continued to set records on accommodative Fed policy, steady corporate profits, and more comfort with the stock market from retail investors. The S&P 500 eclipsed the 1,800 level and the Dow surpassed 16,000 for the first time during the week. For the week the S&P 500 gained 0.4% and the Dow rose 0.6%. Internationally, Europe was down slightly dropping 0.1% while Japan jumped 1.4% on a weakening yen. The 10 year Treasury yield rose over the week to 2.75% as bonds fell.
Retail sales gained 0.4% in October over September. The healthy gain offered more hope for the holiday season.
Minutes released from the Fed’s October meeting showed they still planned to reduce the bond purchase program in the coming months, but were surprised with the market volatility that came with their public statements about it in the summer and were trying to determine how best to communicate the message.
JP Morgan reached a $13 billion settlement with the Justice Dept. resolving several outstanding legal issues for the bank. It is the largest civil settlement achieved by the US government against a single company. Of the total, $4 billion is earmarked for distressed homeowners.
Home Depot’s earnings over its most recent quarter end soared 43% and sales rose 7.4%. The company also raised its forecasts for its current fiscal year.
The Treasury announced it plans to sell off the remaining portion of GM stock it owns as a result of the bailout before the end of the year.
Reposted from the Raffa Wealth Management Blog.
All the news you need to stay informed about what’s currently driving the market – courtesy of Raffa Wealth Management, LLC